Powering Green Energy: JG Pears Power Limited Granted Electricity Supply Licence Exemption

In a significant step towards bolstering the UK's green energy efforts, the Department for Energy Security and Net Zero has granted JG Pears Power Limited an exemption from the requirement to hold an electricity supply licence. This exemption, detailed in the Electricity (Individual Exemption from the Requirement for a Supply Licence) (JG Pears Power Limited) (England) Order 2025, allows the company to supply 37 Mega Watts (MW) of electricity to the Green Energy Business Park in High Marnham, Nottinghamshire, until January 1, 2035.

Why the Exemption?

JG Pears Power Limited, a key player in renewable energy, operates in Low Marnham and High Marnham, Nottinghamshire. The company planned to power its site with solar energy but faced a setback when their chosen location was targeted for acquisition by National Grid Electricity Transmission. In response, JG Pears negotiated a deal to supply up to 37MW of 100% renewable energy to the hydrogen plant at the business park, alongside power from a biomass facility.

Recognizing the unique challenges faced by JG Pears Power Limited, the Department for Energy Security and Net Zero accepted the company's representations. The circumstances were deemed exceptional, warranting an exemption under the Electricity Act 1989, which typically requires entities to hold a supply licence to distribute electricity.

Policy Context

The principal objective of the Secretary of State, as outlined in Section 3A of the Electricity Act 1989, is to protect consumer interests, especially in reducing greenhouse gas emissions. The decision to grant an exemption aligns with this objective, ensuring the security of supply and fostering sustainable development.

The Department's exemptions policy generally discourages supply licence exemptions unless exceptional circumstances arise. JG Pears Power Limited's situation, characterized by unforeseen obstacles and a commitment to renewable energy, fit the criteria for an exemption.

Impact and Oversight

The exemption is specific to JG Pears Power Limited and does not significantly impact other businesses, charities, or the public sector. It is designed to be temporary, allowing the company time to establish its renewable generation capabilities without affecting consumer interests or the broader electricity system.

The Order, which takes effect immediately and expires on January 1, 2035, does not necessitate a formal review due to its limited scope and impact. However, it represents a pivotal moment in the UK's journey towards a greener energy future, underscoring the government's commitment to supporting innovative solutions in renewable energy.

For any inquiries regarding this legislation, Chris Chown at the Department for Energy Security and Net Zero is available for contact.